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HomeMy WebLinkAbout0085 f~rruwe~ and I.ender covenant a~d aKree ue followa: 1. Pnyment of Principal and Intereat. Borrower ahall pn,mptiy pay when due the principul of and interest on thr indebttvlnrda evidenced by the Nute, prepayme~t and late charges ~a provided in the Note, and the principal of and in/e~eat on any M uture Advancra aecu~ed by thie Mortgage. 2. Ftinde [or Taxes a~d lneurance. Subject b applicublr law or to a wntten waivet by I.rnder, Rorrower e~hxil puy to I.ender un the duy monthly inst~illmenta of principal and intereat are puyable under the Note, untit the Note ia paid in lull, u aum (hemin "Funda") eyuai tu one twelRh of the yearly teucea and nasesamenta which may attain priority over this Martgage, and gruund rentx on the Property, if nny, plua unP twelRh of yearly premium inetullmenta for huzard ineurance, plus onetwelfth of yeurly pmmium inetiillments for murtg:+Ke insurnnce, if any, aU ~s reasonably eatimated initiaUy nnd frpm time to time by I.ender on the buais of t+saeaements and bills nnd reasonuble estimatea thereof. The ~nde shall be held in an institution the depoaite or accaunta of which are ineured or guaranteed by a Federal or State agency (including l.e~der if l.ender is such a~ inatitution). Lender ehall apply the Funde to pay eaid wxee, asseetiamentri, inaurunce premiuma and ground rente. I.ender may not charge for eo holding and applying the Funda, ana;y~ing said account, or verifying and compiling said aaxeaamente and billa, unleas l.ender paya Borrower intereet on the Funds and applicable law permita [.ender to make euch a charge. l3orrower and Lender may agree in writing at the time of execution of thia Mortgage that intereat on the F unds ehall be paid to Borrower, and unleas euch agreement ia made or applicable law reqairea such intereat to be pnid, I.ender ahall not be required to pay Borrower any internat or eaminge oa the F~nda. I.ender shpll give to Borrower, without charge, an Annual accou~ting o[the F unda ahowing credite and debita to the Funda and the purpose for which each debit to the Funds was made. The F unds am pledged as additional security for the sums aerured by thie ;Nortgage. lf the amount of the F~nde held by l.ender, together with the future monthly instaUments otFunda payable prior to the duedates of taxea, assesamente, inswance premiume and ground renta, ahall excaed the amount requind to pay eaid taxea, asaessmente, ineurance premiuma and ground rente as they fall due, such excees ahall be, at E3orrower's option, either promptly repaid to Borrower or credited to E3orroMer on monthly inetaUments of Funds. lf the amount ot the Funds held by I.ender ahali not be aufficient to pay taxea, asaessmenta, insurance premiums and gcound rents as they fall due. E3orrower ahal) pay to I.ender any amount neceasary to make up the deficiency within :i0 daye from the date notice is mailed by Ixnder to Borrower requesting payment thereof. Upon payment in full of aU eume secured by thie Morigage, [.ender ahall promptly refund to Borrower any funda held by l.ender. If under paragraph 18 hereof the Property ie sold or the Property is otherwise acquired by I.ender, l.ender ahall apply, no later than immediately prior to the sale of the Property or ite aoquiaition by Lende~, any F~nds held by I.ender at the time of application ae a credit against the sums secured by this Mortgage. 3. Application of Paymente. Unleas applicable law pro~~des otherwise, all paymenta received by l.ender under the Note and paragraphe 1 and 2 hereof shall be applied by Lender firxt in payment ot amounta payable to I.ender by Borrow•er under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest and principal on any Future Advances. 4. Charges; Liens. Borrower shaU pay all taxes, assessments and other chargea, fines and impositions attributable tn the ['mperty w•hich may altain a priority o~ er this Mortgage, and leasehold payments or Rround rents, if any, in the manner provided under pari~Kr.?ph'l hereof or, if not paid in such manncr, by f3orrower inaking payment, when due, dircrtly to the payee thereof. Born,wer Rhail prompdy furnish to I.rnder ;il) notices of amounte due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furnish to l.ender receipts evidencing euch payments. Rorrower shail promptly discharRr i~ny lien which has priority o~•er this htongage; pruvided, that Rorrower shal) not be required to discharge any such lien so long us E3orrower shall agree in writinK to the payment of the obliKation secured by ,uch lien in a manner acceptable to I.ender, or shall in Kood f~ith conteat such lien by, ordefend enforcrmentoftiuch lien in, legal procc~inKs w•hich operate to prevent the enforcement of the lien or furfeiture of the Property or ~ny part thereof. 5_ Hazard lnsurance. Borrower shall keep the impmvements now existing or hereafter erected on the Property insurrd againat loss by 6re, hazarde included within the term "extended coverage," and auch other hazarde as Ixnder may require xnd in such amounts and for such periods as Lender may require; provided, that L.ender shal) not require such rnverage amount exceeding the minimum, as may be required by atate or federal reguletione governing artivities of Lender, or that amount of coverage required to pay the aums secured by this 111ortgage, whichever ie the greater. The insurance carrier providing the insurance shall be chosen by Borr~~w~er subject to appmval b~~ [.ender; pm~•ided, that such appruvul shall not be unreasonably withheld. All pmmiums on inHUranm policies eh.ill be pt?id in the manne~ prrn•idref under paraKraph'L hNrn~f ~~r, if not paid in such manner, by l3orrower making payment, when due, directly to the insurance carrier. Ail inaurance policies and renewals thereof shall be in [orm acceptable to l.ender and ahall include a standard mortgage clause in favor of and in form acceptable to I.encier. I.ender shall have the right to hold the policies and renewats thereof, and E3orrower shall promptly furnish to i.ender all renewel notices and all receipta of paid premiuma. In the event of loea, I3orruwer ahali Rive prompt notice to the insurance rarrier and Lender. L.ender may make proof ot lose if not made promptly by Iiorrower. Unlesa I.ender aud Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or mpair of the Property damaged, provided such resWration or repair ia economically [easible and the security of this Mortgage is not thereby impaired. If such reetoration or repair ie not economically feasibte or if the eecurity of thie Mortgage would be impaired, the insurance proceeds shall be applied ` to the sume secured by this Mortgage, with the excess, if any, paid to Borrower. If the Propedy is abandoned by Borrower, or if Borrower fails to reapond to [.ender within 30 days from the date notice ia mailed by Lender to Borrower that the inaurance carrier of~ers to settle a claim for ~ insurance benefite, Lender is suthorized to coliect and apply the insurance proceeds at Ixndei s option either to restoration or repair of the ° Property or the sume aecured by thie Mortgage. ~ Unleas I.ender and Borrower otherwise agree in writing, any auch application of proceeds to principal ehall not extend or postpone thedue € date of the monthly inetalimenta nferred to in paragrapha 1 and 2 hereof or change the amount of such installments. If under paragraph iH j hereof the Property ia acquired by Lender, aU right, title and interest of Borrower in and to any insurance policies and in and to the proceeds ~ thereof resulting from damage to Property prior to the sale or aoquisition ehall pase to Lender to the extent of the suma secured by this_ 3 ~ Mortgage immediately prior to auch eale or aoquiaition. ~ 6. Preeervation and Maintenance of Property; Leaeeholds; Condominums: Planned Unit Developmente. Borrower shall keep the Property in good repair and ehall not commit waste or permit impairment or deterioration of the Property and shall comply with the ~ pmviaions of any lease if thia Mortgage is on a leasehold. [f this Mortgage i~ on a unit in a oondominium or a planned unit development, ~ I~nower ehall perform all of Borrower'a obligationa under the declaration or covenanta creatinRor governing the condominium or planned ~ unit development, the by-lawe and regulationa of tho condominium or planned unit development, and conatituent dceumenta. [f a ~ condominium or planned unit development rider is executed by Borrower and recorded together with thia Mortgage, the oovenants and agreements of such rider shal l be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the ~ rider were a part hereof. 7. Protectbn ot Lender'e 3ecurity. If Borrower faile to perform the covenenta and agreemente contained in thi8 Mortgage, or if any ~ action or proceeding ie commenced which materially affecte Lender'e intereet in the Property, including, but not limited to, eminent domain, rl ~ ineolvency, oode enforcement, or arrangemente or proceedinge involving a bankrupt or decedent, then Lender at Lendei e option,upon notice to Borrower may make euch appearancee, dieburee euch eume and take auch action ae ie neceseary to protect Lender's intereet, including, but not limited to, diabureement of reaaonable attorney'e fees and entry upon the Property to mai~e repaire. If Lender required mortgage ineurance se a condition of making the loan eecured by thie Mortgage, Borrower ahall pay the premiume required to maintain ench inanrance in effect until such time ae the requirement for such inaurance terminates in accordance with Borrower'e and Lendere ~ writLen agreement or applicable Law. Borrower ehall pay the amount of all mortgage ineurance premiums in the manner provided under paragraph 2 hereof. ~ My amounte diabursed by Lender persuant to thia paragraph 7, with intereat thereon, ahall become additional indebtedneea of ' Borrower eecured by thie Mortgage. Unleae F3orrower and Lender agree to other terma of payment, euch amounte ehall be payable upon - - notice from Lender to Borrower reqweeting payment thereof, and ehell bear intereet trc~m the date of dieburaement at the rate payable from time to time on outatanding principal under the Note unleae payment of interest at auch rate would be rnntrary to epplicable law, in which event such amounts ehall bear intereat at the higheet rate permisaible under applicable Iaw. Nothing contained in thie paragraph 7, ehall require Lender to incur any expenae or take any action hereunder. ~ ~ 3 ~ ~ E~:~ ° ` 3U4 ~n~~ ~ 85 T ~ ~ . ~ - 3~- r~;~ _ . _ "7"*" -,~s S,~'aG~'Y.'"`'y~€""'a"'.--,.,`=3~~,i F ~ ~~'~a~+'s~~'~",~5~ . . . .